Hybrid letting agent Spotahome and Airbnb property management service Hostmaker have struck a distribution deal that will help London landlords ‘circumvent’ the city’s maximum short-term rental laws, it has been claimed.
Airbnb enforces a 90-night limit after councils in the capital introduced the restriction in late 2016.
To help make renting their properties out on Airbnb viable, Spotahome will offer Hostmaker’s landlords the opportunity to rent their homes out on its site for mid to longer-term bookings.
“Spotahome provides access to a market that can cater for the low season, that guarantees income for the property owner so they can stabilise income over the year and utilise short lets for peak seasons,” said David Grey, Head of Yield Management, Hostmaker.
“Regulation in London provides an opportunity that most other cities do not have; the flexibility of very short stays and those that do not neatly fit into six-month plus.”
Hybrid letting agent Spotahome has nearly 4,600 properties listed in Greater London, which are let on a daily basis, but the company requires tenants commit to a minimum one-month stay.
The deal is controversial. The number of short-term rentals on Airbnb in London has risen from 1,000 a week in 2013 to 20,000 last year and of the 77,096 listed in London right now, 55.5% are ‘entire homes’, according to InsideAirbnb.com. This suggests that Airbnb is sucking some 42,000 rental properties out of the capital’s lettings market.
Spotahome says it works with lettings agents and property management companies in London looking for ways to find tenants outside of traditional classified advertising channels including the portals, and Spotahome conducts viewings on their behalf.